Below is a scalping method that I have been using for the previous months to help me clear volume and make continuous profit in the long run
Session: Asian or Euro session
Time frame: 1mins
MACD: 12,26,1
Stochastic: 5, 3, 2
EMA 1: 5 to the close
EMA 2: 5 to the open
The EMA 1 and EMA 2 will be our main trend indicators and the MACD will be to confirm the direction of the trend.
The Stochastic indicator will be the basis of our trade entry. However if you may leave it out if you are well vast with support and resistance for trading.
The chart will look like this after setup:
RulesFor a Buy Trade: When the EMA 1 has crossed EMA 2. The MACD has closed higher than the previous time interval. The Stochastic crosses up from the 20 line and is not over bought
Buy Signal: The signal candle/ bar closes higher (bullish candle is formed). Stop Loss is the low of the previous candle or 20 pips but 20 pip minimum
Buy Chart
For a Sell Trade: When the EMA 1 has crossed EMA 2. The MACD has closed lower than the previous time interval. The Stochastic crosses down from the 80 line and is not over sold
Sell Signal: The signal candle/ bar closes lower (bearish candle is formed) . Stop Loss is the high of the previous candle or 20 pips but 20 pip minimum
Sell Chart
Caution when scalping using this system* No trades during news times
* Risk not more than 1% on a single trade
* Take profit is random based on market conditions but if you are not sure based your decision on reversal patterns or a cross of the two ema’s*
* Trade signals are only confirmed on closed candles/bars.
